This morning (July 29th) A.M. Costa Rica published an article “Real estate shortcomings are beginning to surface”. Fraudulent land sales in Costa Rica have been around for years – so have land sales in Florida that turned out to be swamp land. Don’t ignore due diligence because you’re enchanted by the surf on the beaches and the unspoiled land and wildlife.

If you’ve ever been to Costa Rica, you’ll recognize the truth in the observation that many developments are just fancy entrance gates and perhaps some roads. Not all developments intent to take advantage of early investors – many have great plans, but don’t have enough sales or enough financing to proceed. Yes, being an early purchaser can get you the greatest rewards due to pre-construction pricing, but that’s because such sales bear the highest risk. Financing, sales, permits, new laws – all these can affect the viability of a project.

There are some great opportunities for buying real estate in Costa Rica – and also some great pitfalls. That’s why we introduce our clients to reputable real estate agents in Costa Rica that we’ve met and vetted. Since real estate agents in Costa Rica don’t need to be licensed it’s important to choose the right one.

Del Pacifico, a master planned community of 700 acres on the Central Pacific coast of Costa Rica, between Jaco Beach and Manuel Antonio, is offering a limited number of single family home sites with not only a money-back guarantee, but with a guaranteed rate of return. The current “jewel” of the central Pacific coast is the Marriott Los Suenos resort – just 20 minutes away is a lower priced alternative that hasn’t yet reached its development potential. If the luxury boutique beachfront hotel and golf course are built at del Pacifico, the value of the lots should go up significantly, in which case you can sell your lot or build on it. If that doesn’t happen, the developers of del Pacifico are offering a special “repurchase option” on a limited number of lots. If you decide not to build yourself or sell during the first 5 years, the developer is agreeing to repurchase the lot at the end of 5 years for 140% of the initial purchase price! That’s better interest for you than a current CD and lower interest for the developer than current construction financing. Mountain view lots start at $200,000 and ocean view lots start at $250,000. Finished condos and single family homes are also available.

Contact The Simms Team at ALVA International, Inc. for more information.

One of our clients just returned from Costa Rica, after meeting a colleague of mine there. After an whirlwind 3 day tour, he learned a lot, got to know the Guanacaste area, and is purchasing a lot that he plans to build on in 4 or 5 years. This is in Playa Panama, about 20 minutes drive from the Liberia International Airport. If you’re thinking of buying in Costa Rica, let us help by introducing you to a professional agent who will have your interests at heart. Our client had a bit of trepidation about buying in a foreign country, but when he returned, his comment was “Any concerns I may have originally had about going there and being taken advantage of were quickly dispelled by such a consummate professional.” If you’re thinking of buying in Costa Rica, let us help by introducing you to a professional agent who will have your interests at heart.